One or more ActiveX controls could not be displayed...

I had a quetion out there that i got most of an answer to, but somehow there was a glitch and it is gone, so i'm posting the first question and what additional info i need to finally fix the problem

Original question:
I've just uninstalled Outlook that came with Office XP, installed Outlook 2003 and setup an exchange account through a third party vendor on a machine running the rest of Offfice XP. The OS is XP SP2.

when my user responds to an email he gets this message:

Windows Internet Explorer (is the title at the top of the error message popup.)

One or more ActiveX controls could not be displayed because either:

1. You current security settings prohibit running ActiveX controls on this page, or
2. You have blocked a publisher of one of these controls

As a result, this page may not display correctly.

There is a jpg in the eamil signature of my user that does not show up at thispoint.
I've been up and down the security settings and just cant seem to get it right.
Can you help?

Thanks!

I was able to get the popup from appearing, but the jpg in the email signature still comes out as a red X.